Come January 1 of next year, Dan DiMicco will formally be handing over the CEO reins to John Ferriola; though DiMicco would still continue to be Nucor’s Executive Chairman.
Nucor Corporation, one of the largest steel producers in the U.S., has gone through years of tough times before finally attaining financial success – thanks to F. Kenneth Iverson and Samuel Siegel who helped build that foundation back in the 60s.
Yet it was the entry of Daniel DiMicco, who’s actually been with the organization for quite a while, as the company’s CEO that really led Nucor to where it is now – a solid Fortune 300 company.
Acquisitions. When DiMicco took over September 2000, Nucor successfully acquired steel manufacturing facilities to control the supply of raw materials and to expand its product line. Many companies do these as well but still struggle – Why? Because they did not do it strategically. They just acquire based on “likeness” of business operations, that’s it. DiMicco had a couple more criterions that he considered before making the move.
Environment Friendly. Being a steel manufacturing company, it’s but expected that great amounts of harmful toxins are released by the company which back in the early 2000s resulted in a $98M settlement by Nucor. Since DiMicco took charge, he had this vision to become a Leader in environmental performance thereby taking pivotal steps to attaining that goal – from adding environmental staff to training to adopting new technology and developing one. Since then, the number of toxins Nucor has released dropped by more than 35 percent.
What do we see here?
More than saving on fines – DiMicco showed accountability; a factor crucial to gaining trust specially from the community you operate in.
Culture. Although the company’s culture is an integration of 5 areas, let’s particularly touch the area where many companies specially the unionized ones have trouble with – Benefits. In Nucor’s case, they practice it the egalitarian way.
It’s commendable to note that even the CEO had to explain (August 2006 letter) to all employees why the company had to buy a corporate jet. So see? No unions. To be that Leader, one has to learn how to truly share the pie – that’s how to fire up your people.
Bloomberg Interview. December 2009, in an interview, DiMicco had most of his suggestions based on his industry’s stand point which is but natural. Being into steel, one of his suggestions was to spend more on infrastructure with creating jobs as a backdrop, obviously to get popular support for his arguments.
See interviews or whatever means that you could express yourself or promote your organization is essential to continuous relevancy. And in all those talk, we could say that DiMicco said what was necessary to push Nucor’s agenda towards continuous success.
To be that Leader, you got to learn to make a stand that even if your decisions or ideas may be unpopular at times if you absolutely believe in it, it would be worthwhile.
What’s your take?